5 Items you need more Insurance Coverage on

Think you have enough insurance coverage? Think again. All it takes is one accident or lawsuit and your personal savings, home, and car may be at risk. Most people lack enough liability insurance for even a moderate car accident. Your homeowner’s insurance limits, on the other hand, may not be enough for high-end items or the cost to rebuild your home. Here are 5 items for which you probably need more insurance coverage.

#1. Your Auto Liability Coverage
Many people only buy the state-mandated minimum amount of liability insurance. In Florida, this is $10,000 in no-fault or personal injury protection (PIP) coverage and $10,000 in property damage liability (PDL) coverage. While this may sound like a lot, what happens if you are in a serious accident? Is $10,000 enough to cover medical expenses for everyone in the car? Consider that a typical 5-day stay in a hospital can top $10,000 easily.

What about damage to the other party’s vehicle? If you total a car worth more than $10,000, you will be on the hook for the remaining damages. This is why it pays to increase your coverage beyond the minimum limits.

#2. Your Financed Car
When you have a car loan, you are usually required by your lender to get full coverage, or minimum state limits plus coverage for physical damage to the car. This is because the lender technically owns the car until you pay off your balance. What you may not know is you may owe more on your car than it’s worth, especially early in your loan. If the car is totaled, you will be responsible for paying the difference between your insurance payout and your balance.

Gap insurance or loan lease insurance bridges this gap between the car’s value and what you still owe.

#3. Your Home
When was the last time you reviewed your Florida homeowner s insurance policy? If it’s been awhile, it’s a good idea to review your coverage limits. You may not have enough insurance on your home if you have made major improvements like an addition or kitchen remodel. You should also check if you have coverage for the replacement cost of your home. This is the highest level of coverage and it pays the amount it would cost to rebuild your home in the event of a total loss.

#4. Your Life
A life insurance policy can ensure you won’t create a financial burden for your loved ones when you pass. Life insurance proceeds can be used to fund your child’s education, pay off the mortgage, and pay for basic living expenses. Unfortunately, people underestimate their life insurance needs.

To determine an adequate life insurance amount, consider how much debt you would leave behind. Next, think about how much income you contribute to your household and the level of income your family members will need if you aren’t around.

#5. Your Belongings
If you’re renting, don’t neglect renter’s insurance. A landlord’s policy will not cover any of your personal possessions. Renter’s insurance usually costs about $25 a day to protect your furniture, electronics, appliances, and more. As a homeowner, it’s important to review your homeowner’s policy. If you have luxury or high-end items, they may not be covered. You may need to get a rider to protect jewelry, artwork, collections, and more from damage or theft.

Riemer Insurance Group is one of the leading Hallandale Florida insurance groups and has served the community since 1978. At Riemer Insurance Group, we make it our goal to help you get the insurance coverage you need at a price you can afford. If you aren’t sure if your coverage limits are enough, contact us to review your insurance policies.